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tv   After the Bell  FOX Business  October 28, 2014 4:00pm-5:01pm EDT

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overstock doesn't claim what he does what the stock does by day per day. >> it was up 5%. [closing bell ringing] liz: look at numbers, above 17 -- actually looking at dow jones industrials with a very strong move, session highs at 17,001. the numbers are still settling. to see this rally is pretty significant. it actually started early this morning. we got better than expected consumer confidence numbers that temper ad worse than expected number on durable goods. either way the president spoke in the last hour. had no bad news on ebola. so the markets are holding and gaining on these rallies here. "after the bell" starts right now. so does facebook. david: all three indices session highs by the way. i was pointing at that russell 2000 figure. almost a 3% gain for the small and mid-sized caps represented by the russell 2000.
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that's a tremendous boost to the lower end of the stocks that we deal with here. that is really good move. let's get right to today's market action. we have got a lot to talk about including facebook with joe keating of centerstate bank telling us why you should stick with high quality dividend payers. tom lieden of global treed breaks down three sectors outperforming and how you play them. and larry shover joining us from the cme. larry it's a terrific day today. what is spurring the optimism? >> you know that is a great question. let's consider the fact that really no grade news came out today. nine days ago we were trading 160 points lower. it is something that i've been saying ever since may 20th up until september 23rd this market is ruled by sentiment right now. what fundamentals have really changed? it is not what has happened. it is what has not happened. earnings season, no worse than
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feared. economic data, no worse than feared. ebola, a terrible thing but no worse than feared. so the market snaps back. here we have a 9% rally on our hands. traders behind me are befuddled an thinking they should save the move all day long and getting chopped up in the process. liz: we want to let people know the facebook numbers are out and market digesting them as are we. we wanted to get the exact correct numbers. we can put up stock reaction here and cheryl casone has the numbers. >> liz and dave, here is what we're looking at now it was a beach. earnings per share estimate was 40 cents. the number coming in at 43 cents. revenue barely a beat but a december beat. 3.2 is the actual number. in the last month of the quarter, daily active users, you were talking about that earlier, with your guest, liz, 846 million is the number. we're looking for other things, mobile advertising revenue represented 66% of ad revenue. that is a good number.
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that is a build for facebook. third quarter revenue from advertising something else your guest mentioned, 2.96 billion. that is the initial numbers we're seeing here. this is what matters, daily active users 864 million. it matters whether they're on facebook or not. operating margin 44%. mobile advertising revenue that was 66% of after revenue for entire third quarter. that is a nice jump. quarter to quarter, that is a big jump year-over-year on these numbers, liz and david. as expected a very strong quarter for facebook. liz: monthly active mobile users, 1.12 billion as of september 30th. that is an increase 29%. mobile truly matters, does it not? as we look at numbers, joe keating, straddling the line where it closed. you might not get a huge bump until we hear from the conference call and mark
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zuckerberg and sheryl sandberg so what do you make of this? >> facebook is becoming a dominant player in the mobile space, in the social media place. i think investors are looking at the report beating and they want to be behind the stock. they're looking at it really long-term, liz, not short term. david: i want to go back to larry for a second. larry, you keep a key eye on facebook. the numbers at first, the market digested poorly the numbers. it was down 4%. now it is looking like gaining after-hours. where do you think it trades tomorrow? >> i think it's a trade up. this is one company that controls its destiny. there is a little bit of risk premium in the stock. i mean consensus thinks it is at 90, $95 stock, however, will they continue to be able to have this mobile ad revenue grow by these triple digit numbers? are they going to be able to monetize instagram and video? that is something really big but they need to be able to monetize it. people say why is it trading at
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95 right now? these are the questions when they're answered we'll see the stock trade at 90, 95 or not. boy, the company is controlling its destiniess blue skies ahead. liz: can i tell you we're looking at 52 million shares and about two million traded in the volume in the past, i don't know, 58 seconds or something, david? so throughout the day this was heavily traded. now we see it climbing and climbing at the moment. it is extremely active but we want to stress the stock is flat. let me go to tom. whether you're looking at the social media implications of this is a newer name and gives sort of a salubrious effect to the markets when you have entrepreneurs doing well, we know that america is trying to find its footing when it comes to economic comeback. what does this message send. >> with social media, you know, liz, you live and die by the sword. after a tough start a couple years ago facebook really has been moving. as you pointed out it is all about mobile.
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it is all about mobile ads and revenues continued to increase. users continue to increase. but, for the average investor out there, it is a little bit, makes your heart palpitate a little bit with all ups and downs with twitter and facebook. i think there are some other areas, specifically biotech, health care, and housing that is really bounced back strong since october 15th low. if you look at those sectors specifically in etfs, they have done very, very well. actually grabbed back a heck of a lot more than the other sectors. david: we should mention, tom is an etf guy. if you like to take the whole basket of goods you follow tom's advice. joe, i want to go back to a figure we got early today which is the consumer sentiment number, a very good number particularly looking forward to the holidays and christmas shopping. does that change you? does that make you more bullish than you may have been without it? >> it is basically, we stay in line with it, david. the market is basically
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responding to really solid fundamentals. growth in the economy is moderate but adequate. it is adequate enough to basically give us third quarter operating earnings up 10 to 12% year-over-year. if anybody had fears about the federal reserve acting too quickly or too aggressively, i think events of the past month kind of washed that to the side. david: let me be specific about what you're saying. you're saying because of good consumer numbers, we are not going to see extension of qe? you think they will stop their bond buying tomorrow? >> david i think they will definitely stop the bond buying tomorrow. it has not been all that effective other than raising asset prices so i think they really want to put that to bed and they want to look to the inevitable rise in short-term interest rates. boeing back to my previous point. they will do that in the manner that absolutely doesn't hurt the u.s. economy. they can not hurt u.s. economy as they attempt to raise rates. or else they fail and push us back to recession. liz: quick note. facebook is trading $2 lower
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than where it closed. i want to stay on fed issue here. larry shover, to talk about what the fed will do tomorrow is different than what the fed will do tomorrow. i'm just wondering, are we underestimating even though we all know that the market well-telegraphed they will end bond buying purchases that something will happen tomorrow that will feel like indigestion for the markets when that happens and might we see a selloff tomorrow? >> we could see a selloff tomorrow but i don't think because it is of the fed but not only well-telegraphed but well-priced in. euro treasury, stock market to some degree, this is half-baked old news people are assuming prerogative ending tomorrow. i think what is more important is the language around the zero interest rate policy will remain in place and most traders know that language probably won't change until december with once we get through the next unemployment figures that come
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out. that said, yeah, could we have a selloff? absolutely but not because of the fed. david: by the way, we want you to know, folks. we have a lot more on facebook coming up. we have a special analyst who has been looking at all the details. thinks facebook should be trading $90 a share. we'll go to him after a break. liz: thank you, joe keating, tom lieden and of course larry shover. good to see you all. david: facebook just reporting moments ago. it is trading down right now about 2% but it is up, down, who knows where it will end up. the stock lower despite a beat. the stock is on a role this year. get this, it is up 47% for the year. will numbers keep the rally going? liz: plus the federal trade commission drop as little bomb accusing one major wireless company of misleading millions of consumers, maybe even you, with unlimited data promises. at&t says, we didn't do that but we have all the details straight ahead. david: it wasn't us. will apple customers have
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problems with apple pay working closely with alibaba? are we really at the end of qe? is the consumer coming to the rescue this winter? and would you pay a subscription fee for youtube? a lot to chew on. all that and more with our all-star panel straight ahead. ♪ she's still the one for you.
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we can come back tomorrrow. and we promise to keep it that way. csx. how tomorrow moves. what a day. can't wait til tomorroes. a brand new start. your chance to rise and shine. with centurylink as your trusted technology partner, you can do just that. with our visionary cloud infrastructure, global broadband network and custom communications lutions, your business is more reliable - secure - agile. and with responsive, dedicatesupport, we help you shine every day of the week. david: shares of facebook just about flat-lined right now from closed and earnings were reported. liz: let's go right to nicole petallides look act details from the floor of the new york stock exchange. >> i saw the stock flat and i saw it pulling back a little bit
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in the after-hours. it is coming up off the lows here. trading obviously heavily here but you did see a beat. it was a beat everywhere. the earnings per share, 43 cents versus 40 cents. revenue came in 3.2 billion, versus estimates of 3.12 billion. i also saw third quarter revenue jumped 59%. daily active users were up 19%. you know they are expanding. they want to get five billion users total. looks like there was surprising increases across the board. trying to figure out why it was pulling back the way it did. the stock hit a high. it hit a high of 81.16 today in trading. also a winner this year. up nearly 50% this year. so wonder if people are taking profits? so far i'm not really seeing why there would be this pullback unless it is just a little bit of profit-taking. david: i think people belief in miracles with regard to facebook. they think it could just do spectacularly well and did apparently well but apparently
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not enough for this market. nicole, thank you. >> for more on facebook, are they monetizing instagram? what else? what about guidance? we have ron josie jnp securities analyst and christina warren, mashable securities analyst. ron, you're picking through numbers on your computer. tell us what you see here you didn't expect? >> tell you what, we were surprised on the positive side that advertising was as good as it was. we were looking for 61% growth in advertising revenue. came in 64 1/2 on reported basis. all-in looks like a very good, clean, solid quarter here. profitability 66%. something hard to pick any holes at. this is coming off, i think a lot of people were fearful what is going on in the overall advertising ecosystem online, given reports prior, whether twitter or google, what have you. frankly a great report for facebook where 66% of mobile advertising revenues are now
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mobile. all in all a good report. david: christina, they beat on the bottom and top lines. they kicked it with regard to ad revenue. daily active user numbers are terrific. why isn't this stock taking off after-hours? >> you know i think your earlier point, i think people may be taking profit sharing. sometimes people, they do want miracles. they want something to be even better. this is fantastic turn out. this is a lot stronger than even the best estimates were expecting. they certainly showed that google should, needs to continue to worry when it comes to mobile advertising because facebook has got their story together. david: does this mean the fact it is trading a little below what it ended at the end of the today i, does that mean it was overbought at the beginning of the day? >> i don't know if it was overbought. looks like right now the market is at a decent equalibrium and maybe this is where it needs to be trading right now. i expect this go up tomorrow. it is being traded very heavily
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what i can tell. we might need to wait a bit more time to see how it all levels out. liz: ron, you have outperform and i believe a $90 a share rating here. we also need to look at the fact this company has grown up a bit and now fund managers have to look at it and say, it is more for real now than ever was, right? how do you view this company? -@you've always been bullish, at least lately. what else do you want to hear from the conference call? we remind viewers as soon as mark zuckerberg gets on conference call we'll get more on guidance. no durability reporters ask about instagram. how they monetize that. what do you need to hear to solidify your bullish view? >> what we do is always talk to advertisers large and small, online and off-line and now facebook is considered a must-buy. the question what new advertising formats are coming out there. we've been talking about video as well. this happened last quarter, als
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ice bucket challenge put them and they can monetize it now they're using facebook for videos. what are we listening for? new updates around new ad products. atlas launch for ad serving, listening for instagram. we're looking for first quarter where whatsapp is fully closed. they own the company but would love to hear war where they stand. all in this was nice, clean, great quarter. david: christine, one thing facebook has, probably twitter has, never will, is zuckerberg. zuckerberg keeps facebook relevant. he has the genius for keeping his product relevant in a very fickle market. >> absolutely. his investments have been spectacular. buying instagram. we could talk about how they should monetize it and that's a valid question you about it is a great, great service they continue to add users to. whatsapp is one of these companies a great acquisition. facebook may not be in china but
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whatsapp is. it continues to be a great entry point for then. zuckerberg, what is great about him, he is not afraid to experiment even when the experiments don't necessarily pay off. they will experiment with new apps and experiment with new products. if they don't work, that's fine. but if they can pay off really well. liz: it is google in a way. great to see both of you. ron, thanks for being on the phone with us right there. christina warren of mashable. david: exciting moments. alibaba founder and ceo jack ma saying last night he is looking at potential partnership with apple pay. is this a smart move for apple? could it drive users away? liz: and at&t gets hit with a lawsuit, accused of lying to millions of its subscribers? we'll find out why. david: plus last year's top performing hedge fund manager, well, he is making a very big bullish bet. we have his latest call. you do not want to miss what this is coming up. ♪
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liz: federal trade commission suing at&t accusing the company of misleading millions of its sun scribers. david: peter barnes in washington, d.c. what is the ftc complaint specifically. >> the ftc lawsuit charges that at&t slowed data speeds for customers who were told they were buying unlimited data plans and used large amounts of data mainly on iphones. the practice known as throttling, is not necessarily illegal but the ftc says that at&t broke the law by failing to disclose the practice to those customers who bought the unlimited data plans from 2007 to 2010, the year it stopped offering those kinds of plans.
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the agency says at&t slowed data speeds more more than 3 1/2 million customers, more than 25 million times by throttling the data. the ftc says at&t began throttling network speeds in 2011 for customers who kept those old data plans. the ftc says that throttling was unfair because it kept people from using data they thought they were paying for and also the company made them pay early termination fees when they left at&t that sometimes totaled hundreds of dollars of the suit demands at&t stop its alleged deceptive practices and it is seeking refund for customers. the ftc says those refunds could reach millions of dollars. at&t says the claims are baseless and that its practices are well-publicized and transparent. the company says it informed all unlimited data plan customers of its policies in bill notices and in a national release, well before the throttling program was implemented in addition it
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says the practice covered only about 3% of its customers and that before any customer was throttled, he or she was notified by text message. david and liz. david: looks like at&t is about to get throttled for all this. the lawyers we know will make a bundle. lawyers will make millions. liz: thank you, peter, very much. peter barnes. the stock closing up about 2/3 of a percent. always want to invest in a startup? and be that early bird getting the worm? may be a great idea but you don't have millions and access that venture capital firms do? well now, you're in on it. you can, with as little as $2500 invest in a new company by using slash funders. the ceo and how it works straight ahead. david: cool but consumer confidence shooting up to a seven-year high. so who wins big if our good mood continues? our all-star panel continues.
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liz: merrill lynch says three oil names can withstand the pain of lower oil prices and even thrive in this atmosphere. who are the three names? we'll tell you straight ahead. ♪ ♪ over 12,000 financial advisors. so, how are things? good, good. nearly $800 billion dollars in assets under care. let me just put this away. how did edward jones get so big? could you teach our kids that trick? by not acting that way. ok, last qrter... it's howdward jones makes sense of investing. ♪
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the all-new mercedes-benz gla took nearly 600lbs of high- strength steel. setting industry-leading safe standards took 20,800 crash simulations. and perfecting its engine took over 1.1 million miles of extreme driving. but, this may be the most impressive number of all. introducing the all-new mercedes-benz gla. mercedes-benz. the best or nothing. liz: time for a look at today's market drivers and they stepped on the gas. stocks extending gains in late
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trading with all major indices up more than 1%. but the russell 2000 was a superstar today. the big gainer closing up 2.6%, and, trading above its 200-day moving average for the first time in more than one month. u.s. home prices rising less than expected in august. home prices rose 5.6% compared to one year ago. that is the slowest year-over-year increase since november of 2012. orders for longer lasting durable goods fell in september for second month in a row. commerce department reported orders dropped 1.3% with weak demand for autos and airplanes. david. david: liz, remember darker days of october when the dow was down 1000 points and still dropping like a stone? some of brightest mind of wall street said the fed with roll out a new round of bond buying, adding more to the $4.3 trillion portfolio but now the markets have recovered. and with some very positive consumer confidence numbers out
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today, will the fed stick to its plan of calling a halt to its money printing at conclusion of its two-day meeting tomorrow? let's ask the all-star panel. we have fox business's adam shapiro. average joe's todd horowitz and fort pitt capital kim forest. first to you, todd, do you think they will stick to the plan and stop qe tomorrow? >> no. i think tomorrow they will probably stop but what you have to remember they always hold that deck of cards in their hand saying if we have a problem, we're going to come back in. so i would assume tomorrow to be ending. however, going forward they will make it known with their considerable time and everything else they say, that if there is a problem, we're going back in. that is what we saw two weeks ago when they had one of the governors came out and said we'll do something and make it good. david: that was bullard. >> right. every selloff, every time we have two or three-day seeloff the markets are back with something from the fed saying we'll do more. david: bullard was reacting to
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my interview from richard fisher who said, it ain't going to happen.d said it might happen. then all the market analysts say we'll definitely have another round of qe but i don't think tomorrow, do you? >> no, i don't think tomorrow. what you heard they can always pull out of their pocket and go back to it if there is need for it t never solved a problem, and still banks are not lending 2 plus trillion they have in their reserves. that is what needs to be put out into the economy. david: there is another point, kim, that the fed seems insistent they want 2% inflation. frankly i haven't met many americans, many average americans say, oh, yeah, i would like to pay 2% more for everything i'm buying. >> right. david: whenever you have inflation, we're looking at a chart, the norm is to havv interest rates a little bit above inflation so savers can make money. >> right. david: when qe started we have had the opposite happen. if you're a saver, you're losing money. i don't think that is a good thing. the fed seems to think it is. >> it's a terrible thing.
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the fed should get out to talk to even some of our clients who, you know, look at the, what they're earning on cash which is nothing. and then they have been pushed into risk which, i guess is what the fed wanted this inflation target is baffling to anybody i talk to who is normal person. so i agree with you. we should dissuade the fed from inflation targeting. it just doesn't make sense. david: if you can manage to dissuade them. frankly like twisting arms. we'll move on to another subject. alibaba's jack ma saying last night he is looking at potential partnership with apple pay. take a look. >> i'm very interested in that. i hope we can do something together. >> if we can find some areas of, of common space, i love it. david: adam, do you love it? what do you think about it? >> i love it for couple reasons. one for apple shareholder you
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have $300 billion controlled by alley pay right now. that will only continue to grow. 80% of the online market for goods in china. that is good for apple. the problem what role will chinese play in that because they are the big owner of alibaba. david: big go. adam hit on my concerns about this. jack ma spoke about this into "60 minutes." he put the fear of god in me about his relationship with the chinese government. listen to the clip and get your response. >> we have a veryvery strict process working with the government. they want to, it is related to national security, we work together. david: national security. i mean, you know the chinese definition of national security is much more broad than mine. i'm not sure i want all of my apple information in the hands of alibaba. >> well i'm not sure it would be but if you're a chinese citizen it most certainly would be. and as a potential shareholder, because that's what we're talking about here i wonder what
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is apple getting out of this? they seem to try to sell as many iphones as they could. maybe this relationship would push a few more people into an iphone. at the end of the day, this is china first nation. and alley pay is going to win, not what apple pay has to bring to the table. david: adam, call me paranoid but i'm concerned about alibaba having my apple information when they're so close to the chinese government. >> i think you have a good right to have concern. what is last time we get legitmate, truthful information out of china that we know of? i don't think tim cook would get into bed with jack ma unless they had more control on this side. i don't think this deal will happen if they allow jack ma to control that part of it. i think that would be horrible mistake. investor or no investor, i think that actually takes trust away. if they work it out i think it makes the apple alibaba
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combination of a successful amazon not 825 times pe. david: we'll see. the paranoid factor you have to weigh in there. i'm with you. move on to elections before we take a break. a number of midterm races are razor thin at this point. if any of them come under fire how will the market react? kim, i know how a lot of politicians, if it is razor thin, somebody will shout foul and if this happens and these things drag out a week or more what happens to the markets? >> i don't think it will be that big of a deal for the markets. it certainly will be news items and lawyers will just kind of descend on these races as they should and investigate them. however, because this is state by state sort of thing and i don't think it's a national sort of issue, and, you know, there is some different variants of voter fraud i don't think that is a market issue. david: i don't know.
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todd, if there is shouting of voter fraud, we're hearing a bits of it is it could could hit the markets, no? >> you could have a sharp one or two day selloff because of it. after the end of the day we know this is where it becomes a fed market. if there is some real activity that becomes curious bit we could -- david: adam, any market reaction. >> number on 5th of november day after election we'll talk about holiday shopping and holiday sales. david: unless we're talking about disputed election results. >> there will be not disputed. might be a runoff but not disputed. david: more from the panel. will youtube no longer be freed will a cherly consumer or cheery consumer help drive nasdaq to new heights. liz? liz: cheery, cherry bomb. listen, we have it all here. you don't need a big venture capital firm to get your idea off the ground. guess what, conversely you don't need millions of dollars to invest in the next big idea. we'll tell you how a brand new
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site put together by the founders of skype and original skype guys is helping average investor bent on next big business. the best performing hedge fund manager of 2013 making his next big call. what is it and how is he playing it? we have defails for you next. ♪
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after-hours. at the close of the regular session it had traded about 51 million shares. they're now up to 58 million shares, moving the stock. it is in essence slightly lower than it closed but basically flat. we can say that much. after what has been described by our analyst as solid quarter, very clean quarter. 66% of its advertising revenue coming from mobile. you see this headline from dow jones, facebook shares slip after quarterly report, quote, underwhelms. that may or may not be true. in 15 minutes mark zuckerberg and facebook will have the conference call. we'll have breaking news. david: that will be a very important call. consumer confidence shot up to a seven-year high today. shoppers say they will spend the most this holiday season since 2007. we're back with adam shapiro, todd horowitz and kim forest. adam, i'm wondering how tech
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will do? tech did tremendously today. would that be part of consumer confidence numbers? >> it could be but whole discussion about tech as we go into the holiday shopping season. , when you talk about youtube, the news they may offer consumers the ability to pay for the service the way netflix and all of that, and question about -- david: we'll talk about that. >> that is something to talk about in the future. consumers buying tech. 2/3 live paycheck to paycheck. >> todd, let's talk about christmas. the sentiment was people will pay a lot more, buy a lot more things this christmas. do you think they will? >> i don't. i think this will be a very tough christmas this year. my biggest concern, not only consumers because i'm always talking about average joe, the vendors, sellers, stores have to work on such tight margins, nobody goes to the stores anymore and pays full price. you have to be severely
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discounted before buyers go in. david: right. >> i think it may be, numberswise may be out but numbers wise and earnings wise it will not be. david: kim, a good or bad christmas? >> i think it will be a pretty good christmas. not the best christmas in retail. but the gas prices will drive people to think they can spend more. i think that's fair. if you're not paying more to heat your house and driving your car. having okay christmas season you will spend. david: people will have more in their pockets because of price of oil. let's talk about youtube. adam mentioned it. if you had to pay, had a subscription, would you buy into ad-free subscription service for youtube. kim? >> not a chance. david: no? >> no. i occasionally go to youtube but generally my friends to send me
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there to watch a short clip they made or found. i am just a, not a big power user. i will sit through the ads. sometimes i have to be office, i don't watch what they send me. not my cup of tea. >> youtube's model, google's model is not that they own content up there. they have to put something up there counter to their business model to make me pay for it. you get it at netflix. you can go to other online streamers some they don't have a content worth buying. why would you do it? david: todd, one thing that youtube has been doing recently is they have been allowing people to charge for own personal youtube website as subset of youtube. why don't they take a piece of that, instead of sticking consumer with it? >> that could be a very good idea. if you look at it, the idea itself i don't think is that bad. it could make sense because you weed out all the crap you don't want to watch and get right to
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what you want to look at. i think in concept -- david: you would pay for subscription to youtube seriously. >> i might. listen i could put myself on youtube. get somebody to pay 2 or 3 cents. david: i see enough of myself. i'm with adam, i wouldn't pay for it. adam shapiro, todd horowitz, kim forest. thank you very much. tell us what you think. would you pay for an ad-free youtube? send us a message on facebook or tweet us @fbnatb your answers coming up. liz? liz: i'm not paying for anything extra, forget it. have great idea with a new business but don't have an in with a vc firms in silicon valley? a new company called flash thunder is here to help you. do you want to know how to cash in on lower oil prices? coming up we tell you the top defensive names for falling prices. stay tuned. we've got those for you coming up. >> hi, everyone, i'm gerri willis. coming up on my show at the top
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of the hour we'll have a more on government's explosive new lawsuit against at&t. feds say they will collect millions from ma bell but how much will go to consumers? that is one of the big stories coming up on "the willis report" in a's few minutes. nce to rise and shi. with centurylink as your trusted technology partner, you can do just that. with our visionary oud infrastructure, global broadband network and custom communications solutions, your business is more reliable - secure - agile. and with responsive, dedicated support, we help yoshine every day of the week.
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david: oil is continuing to sit at multi-month lows despite seeing small gain today. are there any bets on oil stocks that make sense? merrill lynch released top names for oil stocks. first up, anadarko, one of the top independent oil and gas producers in the country. the firm has $133 price target on the stock. second is hess. the firm has $130 billion price target which would be a 51% gain from where it trades. that could boom big-time. occidental petroleum. earlier this year it announced it will grow the dividend and increase its buyback. merrill lynch with a $130 price target on the stock, liz. liz: equity crowd funding platform, is linking up investors with startups over the internet at no cost to either party. flash funders founder vincent bradley is here to talk about his company which launched just
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two weeks ago and a few of featured offerings. , i find this fascinating. you basically open a dialogue between entrepreneurs and investors taking out the high-end venture capital firm, correct? >> correct. flash funders is a no fee online funding platform that connects accredited investors to startup companies allowing them to @nvest very efficiently with no fees attached as i said before. first problem we're solving is accredited investors. 97% of accredited investors don't have access to stat upinvesting. walls of silicon valley is very high. on flash funders we're opening up access. we received investors from australia. we have investor from switzerland. we have an investor from israel. we're tearing down walls of silicon valley opening up access. >> in a way there is a lot of money out there where we have viewer investors who would fit into the accredited investor
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profile, right? you have to have million in assets. what else? >> a million in assets. income of 200,000 or income of 300,000 with a spouse. that is what you qualify as accredited investor. liz: okay. >> when we talk about the other problem is startups. raising capital in this country today is incredibly inefficient. startups need access to capital to grow businesses and ultimately with the slogan, to change the world. on flash funders we give them access to cap. startup in this country will spend $23,000 in six months raising seed capital. that is tear amount of time and money. >> it's a lot. >> you should spend time building your business, hiring people and focusing on solving problems. liz: so there are two sides to this. there is startup and investor. take the investor. how much is the minimum investor that an accredited investor can put into a company that signs up with you guys? that is a pretty cool company, maybe the next's whatsapp or next instagram, who knows? >> so we have a platform minimum
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of $2500. >> okay. >> we allow our companies to set minimum investment. if you were to go to flashfunders, you would find a company like swap, for instance. swap is trip advisor for apartment reviews. they're the largest apartment review site in los angeles, excuse me, san francisco, d.c. and new york. they have a minimum of $25,000. liz: so swapped, swapt, is one of your startups? >> correct. liz: you have another one, influential network. what do they do? people come on the site and find a startup you want to invest in. you give $2500 and you spread it around to different companies? >> correct. you should be diversified with your portfolio. influential network is very, very exciting company. they take social media influencers and allow them to match with brand and, and, efficiently share the, send their message out. great example they worked with
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an app and can -- in minutes. liz: that is amazing. you can invest with them and at the same time they can make money. how do you make money. >> flashfunders we have incredible funding. we have with world class law firm. liz: original skype guys. >> correct. we're not interested in making money today. we're focused on creating value. our business model is taking advice to invest in several companies. liz: that is brilliant idea and wish you the best of luck. >> awesome, thank you, liz. liz: vincent bradley. the company is called flashfunders. david: lot of people might want to put your money there instead of stocks you never know. but if you're in stocks pay attention. last year's top hedge fund manager is making a huge bet. counts on younger generation for returns. we'll tell how to you play that coming next. tomorrow's trades today. todd horowitz is back with the number one thing you have to watch tomorrow that could rattle
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the markets. stay tuned. ♪ (receptionis gunderman group. gunderman group is growing. getting in a groove. growth is gratifying. goal is to grow. gotta get greater growowth. i just talked to ups. they got expert advise, special discounts, new technologies. like smart pick ups. they'll only show up when l and it's automatic. we save time and money time? money? time and money. awesome. awesome! awesome! awesome! awesome! (allawesome! i love logistics can you start tomorrow? yes sir. alright. let's share the news tomorrow. today failrly busy. tomorrow we're booked solid. we close on the house tomorrow. i want one of these opened up. because tomorow we go live. it's a day full of promise. and often, that day arrives by train. big day today? even bigger one tomorrow.
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do breathing with co... ...weigh you down? don't wait askour doctor about spiriva handihaler. liz: best performing hedge fund manager of 2013, larry robbins, is making a bullish bet on millenials. he thinks they are ready to take on life experiences they had to defer because of financial crisis like buying a house or dog. how do you play your new thesis, larry? he is buying three holdings. david: she said i would not pay for it. v in order to watch fox business. we have to send her something. send her a tv.
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huh? liz: send you "after the bell" sippy cup. david: thank you, lisa. liz: william writes i would not pay more than a dollar per month for youtube and it would have to be 100% ad-free. three other viewers simply wrote, no. david: time for number one thing to watch, for that we bring back todd horowitz, average joe options founder and author. i would imagine, has to be the fed, right? >> what else, what else have been watching five years now? it always comes back down to the federal reserve. no matter what the news is, wall of worry, you talk about that very often, the wall of worry we keep climbing, okay? now we come back tomorrow we'll listen to the fed. considerable change, considerable time, are they doing something? most likely they do nothing. considerable time stays in and they wait to see what happens. if we, they come back in again. liz: can i do side window? what about earnings? 70% of the companies reported a beat. companies are making money with or without the fed.
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>> that's true. remember how they're making money. look how they're making money. the old days we worked for it. manufactured, built roads. accumulating from banks. getting money rebuying back stock. >> not alcoa. >> alcoa is great. facebook good earnings but the big companies are getting their money back by investing buying back their own stock and building up balance sheet. david: todd, you know agree with you on fed. it is ridiculous trying to get to 2% inflation when investors would lose money at 2% inflation. at least savers would. nevertheless consumer sentiment today, way up. people are buying with more money in their pocket because the price of gas is going down. doesn't that mean earnings reflect more than what the fed is doing? >> i really hope they do. but i don't think they do. i hope they do. i'm an american. i want capitalism. however, i don't think they are. i think we still see a lot of people out of work. still see a lot of problems in the economy. remember, up at top it is us a the best. when it goes down, upgrade the
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top and to the bottom. liz: we had at top were markets, david. today it was incredible rally day. an amazing day for equities. david: great day to have todd horowitz in studio. thanks, todd. liz: "willis report" is next. >> we begin tonight with a huge lawsuit by the federal government against ma bell, at&t. the feds are accusing at&t of misleading millions of consumers with a promise of unlimited data. then slowing down those data speed by as much as 90%. for more on this mashable editor-at-large, lance all enough. -- lance all november. i should say chief correspondent the head of ftc, said at&t promised unlimited data and failed to deliver the promise. the issue is simple, unlimited means unlimited. they're suing for millions. seems

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